PayPal processes around eight million real-money transactions every day and obviously has a massive number of registered users that rely on one of the world's largest payment processors to safely and securely move their funds. The bad news is that PayPal has been linked to Iovation.
If you aren't familiar with Iovation, it is the online fraud prevention company headed by CEO Greg Pierson. Who, you may be asking, is Greg Pierson? Pierson has been tied to Russ Hamilton in the UltimateBet cover-up of the infamous cheating scandal.
PayPal's private policy reports that Iovation is on a list of "non-exclusive examples of the actual third parties to whom we currently disclose your account information."
PayPal utilizes Iovation to "retrieve risk information regarding the IP and device from which you are accessing PayPal, research and testing as to appropriateness of new products and services."
A discovery was made by John Mehaffey of USPoker.com that shows PayPal sharing customer information with Iovation.
UltimateBet whistle-blower,Travis Makar, released audiotapes in May linking UltimateBet founder and CEO Pierson with Russ Hamilton.
The United States first legal online poker site, Ultimate Poker, originally partnered with Iovation for player verification services in Nevada. When the Ultimate Bet tapes surfaced, Ultimate Poker stopped doing business with the company. Ultimate Poker released the following statement:
“As of late Thursday night, May 9th, Ultimate Poker discontinued the use of all services from Iovation. We understand that there were concerns among some of our customers, we hope this makes our players feel more comfortable."
According to PokerNews.com PayPal has not commented at this time.
Image courtesy of PokerNews.com.